Posts Tagged ‘EROI’

The majority of the precious metals analysts discuss the revaluation of silver as it pertains to the amount of fiat currency in the system. While this is a good determination, it only deals with one part of the overall equation. The second & more important factor… is the destruction of “PAPER CLAIM CHECKS” on physical assets.

In my opinion, the world will be a much different place by the end of the decade. The precious metals are not investments or stores of wealth to trade or relate to the insane valuations in our present markets. Gold and silver are more than insurance…. they will be the wave of the future, and the future is now here.

Base price of gold should be over $2,000 an ounce if we average gold-oil ratio for the previous four decades & when we factor in the ongoing geo-political events taking place in the Middle East & Russia-Ukraine as well as the peaking of global oil production. And that does not include the huge monetary printing & debt.

It is the collision of the lack of economic growth in the real economy with the need for economic growth from the debt system that can be expected to lead to collapse. The hidden parts of our economy are being affected by depletion. How long can economic growth continue in a finite world?

In order to understand what solutions to our energy predicament will or won’t work, it is necessary to understand the true nature of our energy predicament. Analysts assume that our problem is a slowly developing long-term problem. In fact, it is a problem that is at our door step right now.